Solana Set to Reclaim $200? PumpSwap’s $2.5B Launch Puts DEX Fuel Behind SOL

Solana has fallen by 1% in the past 24 hours, slipping to $124 as the crypto market as a whole falls by 4% today.

SOL remains down by 11% in a week and by 113% in a month, with the sixth-biggest coin in the market also suffering a 36% decline in the past year.

However, it has been able to deflect some of the wider market’s losses today thanks to the recent launch of Solana-based DEX PumpSwap, which since launching nearly two weeks ago has passed $2.5 billion in cumulative trading volume.

This is an impressive figure four such a new and niche platform, and it ultimately points to Solana’s future growth potential, particularly when market conditions become more favorable again.

Launched by the team behind the Pump.fun meme token launchpad, PumpSwap is a new DEX that will directly list tokens created via its parent platform.

This direct link with Pump.fun arguably gives it a competitive edge over other (Solana-based) DEXes and AMMs, such as Raydium.

Bullishly, it has already expanded from $23.8 million volume on March 20 to a peak of $348 million only four days later.

It has since trailed off a little, but figures still remain fairly high at $203.5 million yesterday, indicating that it has largely consolidated its growth.

Of course, the big question is whether PumpSwap will help generate additional meme token volume, or will simply take volume away from existing Solana DEXes.

Well, looking at the volumes for the aforementioned Raydium, for example, its TVL has remained pretty constant since PumpSwap’s launch, at around $1.2 billion.

This suggests that PumpSwap could help grow Solana-based token trading overall, adding efficiencies and value to the token creation and launchpad services offered by Pump.fun.

Its arrival is therefore highly bullish for Solana, which at the very least has avoided falling as steeply as the rest of the market today.

And as we’ve reported in recent days, its indicators look like they’ve bottomed out already, with SOL due a big recovery sooner or later.

Its RSI (purple) had risen back towards 50 in the past week, and looks like it’s still on a medium-term upwards climb.

At the same time, it’s arguable that Solana’s 30-day average (orange) can’t get any lower in relation to the 200-day (blue), again pointing to an eventual recovery.

So when coupled with Solana’s almost peerless fundamentals, SOL’s price should recover in the coming months.

It could return to $200 by June, and hit $260 by Q4.

Now is a very good time for the Solana ecosystem, with many of its associated tokens likely to rally strongly in the medium- and long-term.

This even includes new tokens that haven’t even launched, with layer-two coin Solaxy (SOLX) being one of the most promising new projects in the space.

It has already raised $28.6 million in its ongoing presale, which is a very strong sign of how well it could do once it goes live.

Plug in. Launch. Scale. #SOLX https://t.co/mdaTX9aVVx pic.twitter.com/wGYXUNJ6eo

And it also boasts over 74,000 followers on X, which again is a sign of how popular it could become.

The reason why it’s doing so well is that it’s in the process of launching Solana’s first true layer-network, one which will make the Solana experience cheaper and easier for users.

It will provide lower fees and faster confirmation times, while also enabling instant bridging, including with chains other than Solana.

Importantly, it will help Solana users avoid the delays and dropped transactions that can still affect the layer-one network, even with recent network upgrades.

Investors can join the SOLX presale by going to the Solaxy website, with their tokens open for staking as soon as they purchase them.

SOLX currently costs $0.00168, although this will rise again in two days.

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